HC Deb 19 June 1978 vol 952 cc12-3
6. Mr. Tebbit

asked the Secretary of State for Trade if he has received any representations from airlines or governmental agencies concerning the working of the Bermuda agreement on air services.

Mr. Dell

We have frequent discussions with airlines and Government agencies about the working of Bermuda 2.

Mr. Tebbit

Has the Secretary of State considered the message of the President of the United States to the Prime Minister in which the President requests further double designation on routes between our countries? Since one of the principal parts of the Government's policy embodied in Bermuda 2 was for single designation, what sort of reply will the President get?

Mr. Dell

I have considered the President's message. The President, evidently for political reasons, wishes to have Boston as a third designation point. It would, of course, have been open to the United States to have decided to keep Boston as its second designation point rather than to start from Los Angeles. The President offers "comparable competitive opportunities". We are considering what "comparable competitive opportunities" should be. One possibility, which would be of great advantage to the United Kingdom, would be the transfer of an American airline to Gatwick, for example, in the course of the policy discussed earlier. But we are prepared to consider what the United States has in mind by way of comparable competitive opportunities and discussions will take place this week.

Mr. Adley

The right hon. Gentleman referred to the transference of American services to Gatwick and told his hon. Friend the Member for Putney (Mr. Jenkins) earlier that he could instruct British Airways. But, in reality, if he were to dare to instruct an American airline, or to try to instruct it, to move from Heathrow to Gatwick, British Airways would probably be transferred from Kennedy Aiport to La Guardia. Is not this a non-power in his hands?

Mr. Dell

I indicated in reply to my hon. Friend the Member for Putney (Mr. Jenkins) that I wished to proceed voluntarily. But it is, nevertheless, very important that there should be a transfer of substantial traffic to Gatwick. It has been pointed out by a leading American airline chairman that in New York they operate from a number of airports. The idea of operating from a number of airports is not inconceivable in respect of the London airport complex. This is certainly something that we shall wish seriously to discuss.

Mr. Hugh Jenkins

When calling for volunteers, will my right hon. Friend suggest that they take two steps forward smartly towards Stansted as well?

Mr. Dell

My hon. Friend can no doubt refer to the White Paper in this respect. He will be aware that the British Airports Authority has recently made an announcement regarding Stansted and with regard to the proposed Advisory Council on Airport Policy. These matters are under consideration.